Contact – Smart Contract Analytics. Gain contract visibility with AI powered contract analytics. It is understood that across the world around 60% of the medium to large scale enterprises are handling contracts manually using word templates or excel spread sheets.
AI based Contract analytics to spot and mitigate contract risks. Contracts are essential to any type of business and they determine the obligations of both the parties entering into a business relationship.
Most of the organizations use their internal legally vetted contract templates when signing up with the other party but in some cases there will be a need to agree to the other party paper which is also called as the “Third party paper”. When an organization uses its own templates, they are sure what they have agreed to and what are the risks and obligations in the event of not honoring the terms of the contract. But when it comes to accepting third party paper you are not sure of the language used in the most important clauses of the contract and how much nonstandard language is used across the contract. This can potentially put any organization at reasonable risk if no mitigation management is followed to alleviate the risks.
Here are some of the key potential risks when accepting third party contracts 2. How AI based contract analytics software helps automate contract reviews? Contract review with in-house legal teams or external legal firms is common and, in most cases, organizations use standard vetted templates while entering a business relationship with customers or suppliers.
Organizations will use only the standard legally vetted contract templates when signing up with any vendor or customer but it is possible that standard contract templates of your organization are not accepted by the other party and in turn expect you to agree to their standard template. This is called as “accepting third party paper”. How AI based contract analytics software helps automate contract reviews? Top 5 ingredients of AI based Contract Analytics Platforms. There are several ways organizations deal with the contracting process.
Few manage it with word-based drafting and redlining coupled with storing in repositories like Drop Box or SharePoint and some deploy automated contract management systems for this process that also include collaboration. Some systems even enable you to digitally sign the contracts However the most important ask for an organization with respect to contract management is to have instant visibility across their contract key terms to perform risk mitigation, understand which of their contracts deviate from standard terms, have control on third party contracts, get actionable insights across the contracts.
AI powered contract analytics and review. Top 5 ingredients of AI based Contract Analytics Platforms. Contract Discovery & Insights with AI & ML - Standav. How AI based Contract analysis software works? AI powered contract analytics and review. How AI based Contract analysis software works? Impact of COVID-19 on contractual obligations. Every business around the world irrespective of location, size and nature of business has been deeply impacted with the unprecedented situation we are in with Covid-19.
This has greatly challenged businesses with supply chain, business continuity and performing the contractual obligations With uncertainity prevailing all over, it is time for all businesses to relook into their contracts to understand what are their obligations across their contracts and the amount of risk they can be entitled if they fail to perform as per the agreed provisions.
Legacy Contract Migration & Document Analysis. How Organizations can improve Business Processes using AI? Enterprise Cognitive Computing is the use of AI in enhancing and scaling business operations for any company and any industry.
This involves incorporating AI into business process flows that accomplish certain tasks – typically these are the tasks that are well defined, repetitive and mundane in nature. For example, a cognitive automation process can help a mortgage loan officer to determine the loan eligibility of a borrower, which is a critical step in the home buying process and shortens the turnaround times. Typically, the borrower needs to submit pay stubs, employment letters, tax and bank statements and several other supporting documents by uploading into a loan portal or by submitting these via email. The following graphic illustrates this process at a high level: Changing the face of Contract Analytics using AI and ML. The world is going through a lot of advancements in technology and making a huge impact on how business is being conducted and how organizations are adapting to these new technologies.
A lot of human-intensive tasks are being fully automated ever since Artificial Intelligence and Machine Learning have come into usage. we are seeing routine and mundane tasks being automated with the help of RPA (Robotic Process Automation), a lot of customer support functions getting automated with the help of Voice BOTS. It is not very far that we will witness wide usage of a Robot taking instructions from a recognized human voice and perform a business transaction on the fly. Still, Departments like Sales, Procurement, Legal, Human Resource across organizations who are constantly handling Customers, Vendors, Employees are not making full use of the latest technologies like AI and ML in solving their day to day business challenges.
Unlocking the value from your Dark Data through AI & ML. Gartner defines dark data as the information assets organizations collect, process and store during regular business activities, but generally fail to use for other purposes (for example, analytics, business relationships and direct monetizing).
Similar to dark matter in physics, dark data often comprises most organizations’ universe of information assets. These assets include emails, contractual documents, multimedia, and other intellectual property. Parsing, tagging, linking and searching all this dark data is the greatest immediate opportunity for most businesses to unlock the value. With the advances in NLP and Machine learning, making sense out of this data and generating actionable insights to surface the risk, liabilities, and opportunities to renegotiate contractual terms is a low hanging fruit to prove the ROI of the AI initiatives in a company. It’s a good idea to enrich an organization’s data with external data sources that will help in creating new services.
AI Based Contract Analytics A must to mitigate Enterprise Risk. It is a known fact that the success of any organization is solely dependent on the volume of business they do in a fiscal year along with how they were able to effectively manage risks arising from the contracts they have signed with their vendors, customers, partners and employees To start with, lets understand the various ways an Enterprise can be exposed to potential risks regarding the contracts.
Unable to trace the signed contract on time Contracts are managed by various stake holders across the organization and several copies are rotated back and forth until the final contract is signed off by both parties. Most organizations who do not have a central repository of contract documents keep these signed contracts in several places that include Emails, Cloud storages like Google Drive, Drop box, file cabinets in case of paper based scanned documents, USB drives and so on. Auto Renewal of a Vendor Agreement without notice Deviations from Standard Terms. Contract Discovery and Analytics platform.